US services sector picked up in August, along with prices
The U.S. services sector unexpectedly gained momentum in August, with new orders and higher input prices, indicating potential signs of continued inflation pressures.
/cloudfront-us-east-2.images.arcpublishing.com/reuters/LU4ZVAZWERNIDCUFC62O42DZGY.jpg)
Topics
Posted 9/6/2023, 2:07:00 PM
reuters.com
Relevant topic timeline:
A surge in services inflation is expected, driven by the recent rise in the stock market, with prices of portfolio management and investment advice services likely responsible for most of the increase.
Financial markets are preparing for a rebound in U.S. inflation in August, driven by higher energy prices, which could disrupt expectations of easy inflation control by the Federal Reserve.
Inflation is expected to rise in August as oil and gasoline prices increase, putting pressure on the economy and potentially leading to higher interest rates and a stronger dollar.
US wholesale inflation in August exceeded expectations with a 0.7% increase, driven by a surge in energy costs and gasoline prices, providing the Federal Reserve with new data to consider in its decision on interest rates.
Producer prices rose more than expected in August, signaling further inflationary pressures due to a surge in energy costs.